VINCI SA (DG.PA)

FR0000125486 - Common Stock

118.76  -1.3 (-1.08%)

Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to DG. DG was compared to 34 industry peers in the Construction & Engineering industry. DG has an excellent profitability rating, but there are concerns on its financial health. DG has a correct valuation and a medium growth rate. Finally DG also has an excellent dividend rating.



7

1. Profitability

1.1 Basic Checks

DG had positive earnings in the past year.
DG had a positive operating cash flow in the past year.
In the past 5 years DG has always been profitable.
DG had a positive operating cash flow in each of the past 5 years.

1.2 Ratios

Looking at the Return On Assets, with a value of 3.97%, DG is in the better half of the industry, outperforming 61.76% of the companies in the same industry.
With a Return On Equity value of 16.73%, DG perfoms like the industry average, outperforming 55.88% of the companies in the same industry.
The Return On Invested Capital of DG (8.32%) is better than 61.76% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for DG is below the industry average of 10.48%.
The 3 year average ROIC (6.83%) for DG is below the current ROIC(8.32%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 3.97%
ROE 16.73%
ROIC 8.32%
ROA(3y)3.45%
ROA(5y)3.06%
ROE(3y)14.83%
ROE(5y)13.28%
ROIC(3y)6.83%
ROIC(5y)6.05%

1.3 Margins

DG has a Profit Margin of 6.75%. This is in the better half of the industry: DG outperforms 73.53% of its industry peers.
In the last couple of years the Profit Margin of DG has remained more or less at the same level.
The Operating Margin of DG (11.58%) is better than 76.47% of its industry peers.
DG's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 77.32%, DG belongs to the best of the industry, outperforming 91.18% of the companies in the same industry.
In the last couple of years the Gross Margin of DG has remained more or less at the same level.
Industry RankSector Rank
OM 11.58%
PM (TTM) 6.75%
GM 77.32%
OM growth 3Y24.85%
OM growth 5Y1.42%
PM growth 3Y33.68%
PM growth 5Y-0.01%
GM growth 3Y-0.28%
GM growth 5Y-0.11%

1

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DG is still creating some value.
The number of shares outstanding for DG has been increased compared to 1 year ago.
Compared to 5 years ago, DG has more shares outstanding
The debt/assets ratio for DG has been reduced compared to a year ago.

2.2 Solvency

Based on the Altman-Z score of 1.39, we must say that DG is in the distress zone and has some risk of bankruptcy.
DG has a Altman-Z score of 1.39. This is in the lower half of the industry: DG underperforms 64.71% of its industry peers.
The Debt to FCF ratio of DG is 4.31, which is a neutral value as it means it would take DG, 4.31 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.31, DG is in line with its industry, outperforming 58.82% of the companies in the same industry.
DG has a Debt/Equity ratio of 1.03. This is a high value indicating a heavy dependency on external financing.
DG's Debt to Equity ratio of 1.03 is on the low side compared to the rest of the industry. DG is outperformed by 73.53% of its industry peers.
Industry RankSector Rank
Debt/Equity 1.03
Debt/FCF 4.31
Altman-Z 1.39
ROIC/WACC1.49
WACC5.58%

2.3 Liquidity

A Current Ratio of 0.90 indicates that DG may have some problems paying its short term obligations.
DG's Current ratio of 0.90 is on the low side compared to the rest of the industry. DG is outperformed by 85.29% of its industry peers.
DG has a Quick Ratio of 0.90. This is a bad value and indicates that DG is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.87, DG is not doing good in the industry: 64.71% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 0.9
Quick Ratio 0.87

5

3. Growth

3.1 Past

DG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -21.15%.
Measured over the past 5 years, DG shows a small growth in Earnings Per Share. The EPS has been growing by 2.06% on average per year.
Looking at the last year, DG shows a quite strong growth in Revenue. The Revenue has grown by 11.81% in the last year.
DG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.54% yearly.
EPS 1Y (TTM)-21.15%
EPS 3Y38.86%
EPS 5Y2.06%
EPS growth Q2Q-45.76%
Revenue 1Y (TTM)11.81%
Revenue growth 3Y16.59%
Revenue growth 5Y9.54%
Revenue growth Q2Q10.15%

3.2 Future

The Earnings Per Share is expected to grow by 13.04% on average over the next years. This is quite good.
Based on estimates for the next years, DG will show a small growth in Revenue. The Revenue will grow by 3.34% on average per year.
EPS Next Y51.91%
EPS Next 2Y27.5%
EPS Next 3Y19.4%
EPS Next 5Y13.04%
Revenue Next Year4.96%
Revenue Next 2Y4.05%
Revenue Next 3Y3.34%
Revenue Next 5YN/A

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.

5

4. Valuation

4.1 Price/Earnings Ratio

DG is valuated rather expensively with a Price/Earnings ratio of 20.16.
The rest of the industry has a similar Price/Earnings ratio as DG.
Compared to an average S&P500 Price/Earnings ratio of 26.48, DG is valued a bit cheaper.
DG is valuated correctly with a Price/Forward Earnings ratio of 13.27.
DG's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of DG to the average of the S&P500 Index (22.79), we can say DG is valued slightly cheaper.
Industry RankSector Rank
PE 20.16
Fwd PE 13.27

4.2 Price Multiples

DG's Enterprise Value to EBITDA is on the same level as the industry average.
DG's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 9.31
EV/EBITDA 6.87

4.3 Compensation for Growth

The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of DG may justify a higher PE ratio.
DG's earnings are expected to grow with 19.40% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.39
PEG (5Y)9.8
EPS Next 2Y27.5%
EPS Next 3Y19.4%

7

5. Dividend

5.1 Amount

DG has a Yearly Dividend Yield of 3.85%.
DG's Dividend Yield is a higher than the industry average which is at 3.63.
DG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
Industry RankSector Rank
Dividend Yield 3.85%

5.2 History

On average, the dividend of DG grows each year by 10.03%, which is quite nice.
Dividend Growth(5Y)10.03%
Div Incr Years2
Div Non Decr Years2

5.3 Sustainability

48.77% of the earnings are spent on dividend by DG. This is a bit on the high side, but may be sustainable.
The dividend of DG is growing, but earnings are growing more, so the dividend growth is sustainable.
DP48.77%
EPS Next 2Y27.5%
EPS Next 3Y19.4%

VINCI SA

EPA:DG (3/28/2024, 7:00:00 PM)

118.76

-1.3 (-1.08%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap67.79B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 3.85%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 20.16
Fwd PE 13.27
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.39
PEG (5Y)9.8
Profitability
Industry RankSector Rank
ROA 3.97%
ROE 16.73%
ROCE
ROIC
ROICexc
ROICexgc
OM 11.58%
PM (TTM) 6.75%
GM 77.32%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.59
Health
Industry RankSector Rank
Debt/Equity 1.03
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 0.9
Quick Ratio 0.87
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-21.15%
EPS 3Y38.86%
EPS 5Y
EPS growth Q2Q
EPS Next Y51.91%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)11.81%
Revenue growth 3Y16.59%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y